Amid Insecurity, How Should You Invest Now?

8/28/2013 10:40AM

Between stock markets closing down, geopolitical anxiety in the Middle East, and a pivotal Fed meeting coming up, the easy market of earlier this year seems to be gone. What should investors do now? John Buckinghman, chief investment officer at AFAM Capital, joins MoneyBeat. Photo: AP.

This transcript has been automatically generated and may not be 100% accurate.

... ay ay ay mm mm ... markets closing down geopolitical anxiety in the Middle East a pivotal ... meeting coming up in February ... the easy market of earlier this year seems to be done what should investors do now John Buckingham chief investment officer the fam capital says don't get too caught up ... in a minute by minute the so the minutiae of the market don't ... let that get back on MoneyBeat here welcome again ... on you guys over there you are a lot you basically longs ... you're not playing the market in case I would expect using night you ignore the minute by minute ... but but why oh why should you ignore the map and ... one fortunately emotion is what gets in the way of many investors' long-term success so if you focus on you know the main issue you're always going to find a reason not to invest ... and yet historically the equity market has delivered returns of nine eleven percent over the last eight decades ... and if you can focus on value stocks as we do ... baby can do a little better ... of the most long-term returns despite all of the bad news that ... seemed to have to face a day after day one is that we are being this moment right it's the end of August ... the little guy is here in the marquee look of the next month due to the next two months ... he's seen a lot of things coming up real German elections the Fed meet with the ... big thing of the debt ceiling which I had to say right now my work on not find it this time ... um come up I that that silly stuff this gears with a wife didn't happen um not buy it but I mean ... investors have to pay attention to that stuff don't think ... well certainly have to watch those things in the short run but those kinds of things create opportunities for those who can take a long-term view of things ... so as we've seen you know stocks and various actors interest rate sensitive stocks higher yielding stocks have come down here in the summer ... that's when investors I think should be gravitating toward taking advantage of the things that got beat out ... including some of the materials industrials ... that have been hit hard here this summer ... the thing people sometimes ... you're so busy trading stocks on the stock price isn't right ... that a guy I know you're gonna be this ... good in people lose sight of the fact that they're not buying a piece of paper to buying something else ... why do you think that people inside in fact they actually have ownership in the business and you know and most of the companies that we invest and pay dividends so you have income from the gun shy ... unfortunately so many investors use ticker symbols in the eye on Mr. softie year ... or something like that and not that I'd own a piece of some of America's greatest corporations he could have a long-term view and focus on businesses yuan ... I think you can do very well and in order of the day to day ... gyrations Arik John Buckingham think you're a much appreciate the time that the coming in to thank you